Home Carer Tax Credits are available to many people in Ireland and according to local Fianna Fail TD, Frank O’Rourke, not everyone that is entitled to this credit is availing of it.
“Home Carer Tax Credit are given to married couples or civil partners (who are jointly assessed for tax) where one spouse or civil partner works in the home caring for a dependent person; such as child, elderly person or a person with a disability who requires care. This tax credit was increased to €1,100 in Budget 2017. Recent Budgets also increased the amount of income the stay-at-home person can earn before they lose this credit altogether.”
“This tax credit is not advertised very much. I believe that many people are not claiming this tax credit. This credit puts up to €1,100 back into the pockets of a couple where one person works and the other is a carer, including caring for children.” stated Deputy O’Rourke.
“Carer’s Allowance or Carer’s Benefit are not taken into account when determining the home carer’s income, but they are taxable sources of income. This means that if you are claiming Carer’s Allowance or Carer’s Benefit, it will make up part of your jointly assessed income.”
“In my own experience from dealing with constituents at my clinics, there is a lack of awareness of this particular tax credit. Improving net take home pay is not all about reducing taxes, it is about reducing the cost of living, such as reducing cost of motor insurance, reducing medical bills, widening tax bands and also increasing tax credits for home carers.”
“In my view, the Revenue Commissioners should be obliged to explicitly bring this €1,100 credit to the attention of each taxpayer who may be entitled to benefit from it. Taxpayers who could benefit from this tax credit can claim it using Revenue’s online PAYE Anytime service, a claim form or their annual tax return.” Concluded Deputy O’Rourke.
